What to Know About Debt Relief Companies

When you’re overwhelmed by debt, it’s natural to look for fast solutions. But in this episode of Credit Corner, Chief Credit Officer Ellen Falbo encourages a closer look at how debt management and debt relief companies really work.

While these companies claim to negotiate with creditors for you, they often suggest stopping payments first—which can hurt your credit history. Plus, they typically take a large share of any money they save you.

Ellen shares a more empowering path: contacting your creditors directly. Asking about hardship plans or settlement options can help you lower your debt and keep more of your savings without extra fees.

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Transcription

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